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travelguy

join:1999-09-03
Santa Fe, NM

Try Rental Car Taxes...

The only think worse than phone taxes are rental car taxes & fees. They frequently exceed 25% in many cities.


Ben
Premium
join:2007-06-17
Glen Carbon, IL
said by travelguy:

The only think worse than phone taxes are rental car taxes & fees. They frequently exceed 25% in many cities.
Hotel/Lodging Taxes are also bad.

Once, I stayed a couple nights in Madison, WI for a convention, and the rate was 13.5%. That's far higher than the local sales tax.


Taxpayer Joe

@verizon.net
said by Ben:

said by travelguy:

The only think worse than phone taxes are rental car taxes & fees. They frequently exceed 25% in many cities.
Hotel/Lodging Taxes are also bad.

Once, I stayed a couple nights in Madison, WI for a convention, and the rate was 13.5%. That's far higher than the local sales tax.
Last year, our city council raised the bed tax from 12% to 14%.

The reason given by our brilliant representatives?
(Drumroll please...)

"It hasn't been raised recently."

I kid you not.

Down the road, at our major-city airport, the rental-car tax can exceed 100% of the rental charges.

The concept is simple. "Soak the tourists."
Sounds like taxation-without-representation to me.
Didn't we fight (and win) a war over that about 230 years ago?


Ben
Premium
join:2007-06-17
Glen Carbon, IL
said by Taxpayer JoeThe concept is simple. "Soak the tourists."
Sounds like taxation-without-representation to me.
Didn't we fight (and win) a war over that about 230 years ago?
[/BQUOTE :


You're exactly right. The idea is that it's supposed to be popular, as it's a way to raise city revenue without taxing the local population.

The worst part is that it probably won't make a huge difference in demand, because when people visit, it's usually a one time deal, or a few times.

It's sometimes counterintuitive though. My hometown, Bloomington/Normal, IL passed a restaurant only tax of 2%. It's a tax that everyone there pays, the residents and the tourists. It's not enough to make people travel out of town, but enough to annoy. The result is that some people who travel through B-N decide that they'll eat lunch and dinner in other towns along the way.